Tullamore Retail Park in Cloncollig, which has been offered for sale.

Offaly retail park offered for sale

The local retail scene could be set to undergo a major transformation with news emerging that Tullamore Retail Park in Cloncollig has been placed on the market by the US-based investor group which purchased it from the Bank of Ireland in 2015.

Davidson Kempner assumed ownership of five retail parks, including Tullamore, as part of the €170 million acquisition, and now they are offering three of them for sale at a guide price of €67.5 million.

The three retail parks, in Tullamore, Killarney and Letterkenny, are known collectively as the “Cobalt Collection” and as well as being offered for sale in one lot by agents, CBRE, they are also available to purchase in individual lots.

Tullamore Retail Park, which sits on a nine-acre site in Cloncollig, and is 2km from Tullamore town centre, is being offered for sale for an estimated €18.5m-€19.5m.

According to the selling agents, CBRE, the sale of the three retail parks presents an opportunity to investors to “acquire a geographically diversified retail portfolio in pivotal regional towns” throughout Ireland.

In relation to Tullamore Retail Park, CBRE says it trades “exceptionally well” which is proven by its consistent 100% occupancy rates.

Woodies DIY is the anchor tenant in the Cloncollig facility, occupying an area of approximately 53,000 sq.ft., and the park is also home to other high-profile tenants such as DID Electrical, Argos, Sports Direct Homesavers and a stand-alone drive thru restaurant currently occupied by the Burger King chain. The overall gross internal area of the park is some 170,000 sq.ft.

Not included in the sale, however, is the adjoining Tesco Extra store and petrol station, although CBRE points out that they are an “additional footfall draw” to the overall Retail Park.

CBRE further states that Tullamore Retail Park is producing a net operating income of roughly €1.68m per annum.